License & Permit Bonds

Licence and permit bonds are required by federal, provincial and municipal governments to guarantee compliance with regulations and bylaws relating to a specific license or permit. In other words, these bonds ensure that an individual or business fully meets all government rules and regulations.

Some areas of businesses pose more risk to the public like sales, service providers, manufacturing or product distribution. As such, businesses operating in these areas may require a license and permit bond. Governments regulate these types of businesses and activities to protect the public against incompetence, misrepresentation, fraud, physical damage, or bodily harm.